Should A.I. Agents at Law Firms Carry Their Own Insurance?

A new question is being raised about law firms and artificial intelligence: should the A.I. agents that do legal work carry their own insurance? The New York Times asked it in a recent story. Lawyers already buy malpractice insurance, and the idea is to cover the software in a similar way.

The background

Malpractice insurance covers costly mistakes a lawyer makes for a client. If a lawyer misses a deadline or gives bad advice, the policy can help pay for the damage. A.I. agents are software tools that can take on parts of legal work. The open question is whether they should be covered the same way.

Who pays when software errs

The key issue is who pays when an A.I. tool gets something wrong. There are three possible answers:

• The law firm that used the tool
• The client who relied on the work
• The company that made the software

What is not known yet

The full text of the article was not available for this report. That means details are missing, including whether any insurer offers such coverage, what it would cost, or whether any rule requires it. Those points should not be assumed.

What to do

If you hire a firm that uses A.I., ask who is responsible and who pays if the software gets something wrong. It is a fair question for any client, whether you are a business owner or an individual with a legal matter. A clear answer before work begins is better than a dispute afterward.